Foreign Adversary Investment Prohibition Act

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3635 Introduced in House (IH)]

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119th CONGRESS
  1st Session
                                H. R. 3635

   To prohibit Members of Congress from conducting certain financial 
 transactions involving a foreign adversary of the United States, and 
                          for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 29, 2025

Mr. Kean (for himself and Ms. Scholten) introduced the following bill; 
   which was referred to the Committee on Financial Services, and in 
     addition to the Committee on Agriculture, for a period to be 
subsequently determined by the Speaker, in each case for consideration 
  of such provisions as fall within the jurisdiction of the committee 
                               concerned

_______________________________________________________________________

                                 A BILL


 
   To prohibit Members of Congress from conducting certain financial 
 transactions involving a foreign adversary of the United States, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Foreign Adversary Investment 
Prohibition Act''.

SEC. 2. PROHIBITION WITH RESPECT TO CERTAIN TRANSACTIONS BY MEMBERS OF 
              CONGRESS WITH A FOREIGN ADVERSARY.

    (a) In General.--A Member of Congress may not, during the term of 
service of the Member of Congress, conduct any covered financial 
transaction that benefits, directly or indirectly, a foreign adversary 
or an entity owned or operated by a foreign adversary.
    (b) Civil Enforcement.--
            (1) In general.--The Attorney General may bring a civil 
        action in an appropriate district court of the United States 
        against any person who violates, or whom the Attorney General 
        has reason to believe is engaging in conduct that violates, 
        subsection (a).
            (2) Civil penalty.--If the court finds by a preponderance 
        of the evidence that a person violated subsection (a), the 
        court shall impose a civil penalty of not more than--
                    (A) in the case of a first violation of subsection 
                (a), $5,000;
                    (B) in the case of a second violation of subsection 
                (a), $10,000; and
                    (C) in the case of each violation of subsection (a) 
                after a second violation under subparagraph (B), 
                $15,000.
    (c) Definitions.--In this section:
            (1) Covered financial transaction.--
                    (A) In general.--The term ``covered financial 
                transaction'' includes--
                            (i) any gift, subscription, loan, advance, 
                        or deposit of money or anything of value;
                            (ii) any investment in--
                                    (I) a security (as defined in 
                                section 3(a) of Securities Exchange Act 
                                of 1934 (15 U.S.C. 78c(a)));
                                    (II) a security future (as defined 
                                in that section); or
                                    (III) a commodity (as defined in 
                                section 1a of the Commodity Exchange 
                                Act (7 U.S.C. 1a)); and
                            (iii) any economic interest comparable to 
                        an interest described in clause (i) that is 
                        acquired through synthetic means, such as the 
                        use of a derivative, including an option, 
                        warrant, or other similar means.
            (2) Foreign adversary.--The term ``foreign adversary'' 
        means--
                    (A) the People's Republic of China, including the 
                Hong Kong Special Administrative Regions;
                    (B) the Republic of Cuba;
                    (C) the Islamic Republic of Iran;
                    (D) the Democratic People's Republic of Korea;
                    (E) the Russian Federation; and
                    (F) the Bolivarian Republic of Venezuela under the 
                regime of Nicolas Maduro Moros.
            (3) Member of congress.--The term ``Member of Congress'' 
        means a Senator or Representative in, or Delegate or Resident 
        Commissioner to, the Congress.
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